The Legislative Budget Board, in cooperation with the Texas Water Development Board (TWDB) and the Texas Commission on Environmental Quality (TCEQ), has determined that:

The bill creates Oatman Hill Municipal Utility District (District).   

1)  Population –The very specific description of the proposed boundaries is in terminology which does not match Census geography, thus population can be estimated only for an area somewhat larger than the district will actually cover. Population in this larger area, of which this district will only be a part, could be as high as 5,425 based on the 2000 Census.

Population growth in that specific area since the 2000 census is unknown, however the majority of the proposed district is within Polonia Water Supply Corporation (WSC), Creedmoor Maha WSC, City of Austin, and Aqua WSC.  Based on the 2011 Region K and L Water Plans, Creedmoor Maha WSC was projected to grow from 6,432 in 2000 to 8,179 in 2010 and 10,316 in 2020. Polonia WSC was projected to grow from 4,737 in 2000 to 7,275 in 2010 and 10,019 in 2020.  The City of Austin to the northwest is projected to grow from 644,752 in 2000 to 770,529 in 2010 and 928,151 in 2020. Aqua WSC was projected to grow from 7,560 in 2000 to 11,252 in 2010 and 13,444 in 2020. Travis County is projected to grow from 812,280 in 2000 to 1,003,253 in 2010 and 1,201,256 in 2020. Caldwell County is projected to grow from 32,194 in 2000 to 45,958 in 2010 and 59,722 in 2020.

2)  Location – The proposed district’s initial boundaries are described in a description of metes and bounds.  Due to the complexity of these boundaries for the various sub-areas of the district, staff is able to determine only the general location of the proposed district.

The district’s area is approximately 2.16 square miles, and will be located in southeastern Travis County, and northwestern Caldwell County.  The district overlaps portions of CCNs held by Polonia WSC, Creedmoor Maha WSC, City of Austin, and Aqua WSC.

3)  Comments on Powers/Duties Different from Similar Types of Districts - The bill specifies that the District may not hold an election under Section 8327.003, Special District Local Laws Code, until all municipalities in which the District is located, or whose extraterritorial jurisdiction the District is located, consent to the creation.  The bill specifies that the District has road powers.  The District has limited power of eminent domain.

4)  Overlapping Services - The stated boundaries for tracts 2b, 2d, 3, and 4a of the District form an acceptable closure.  The stated boundaries for tracts 1, 2a, 2c, and 4b of the District do not form an acceptable closure.   

5)  TCEQ Supervision - As with general law districts, the TCEQ will have general supervisory authority, including bond review authority and review of financial reports.

6)   Water Use - SB 1877 specifies that “The district has the powers and duties provided by the general law of this state, including Chapters 49 and 54, Water Code, applicable to municipal utility districts created under Section 59, Article XVI, Texas Constitution.” Therefore, it appears as though Oatman Hill MUD would serve to accomplish the conservation and development of natural resources, including the control, storing, preservation and distribution of storm and flood waters, the waters of rivers and streams, for irrigation, power and all other useful purposes, among other duties specified in Section 59, Article XVI of the Texas Constitution. 

Within Travis County, 7.7 percent of the total water use was groundwater (Edwards BFZ, Trinity, and other aquifers) in 2008.  Eighty-eight percent of the groundwater pumping was for municipal use. Within Caldwell County, 5.3 percent of total water use was groundwater (Carrizo-Wilcox, Edwards BFZ, Queen City, Trinity, and Other aquifers) in 2008. Eighty-eight percent of the groundwater pumping was for municipal use. The water source that the district might pursue is unknown.